Badr Al BadrManaging Director, Cisco

Smart+Connected Communities, Asia and Africa

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Agenda

What is culture

What is high performance culture

The 3 pillar model

Culture -> Performance

Leadership

Motivation

Structure

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What is Corporate Culture?

cul·ture: the set of shared attitudes,

values, goals and practices that

characterizes a company or corporation.

-Webster’s Dictionary

© 2009 Guidon Performance

Solutions, LLC.

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How is corporate culture

formed?

Culture is represented in the norms and unwritten rules that guide employee actions

Corporate cultures are shaped by a variety of influences

nature of the business

geography

fingerprints of the company founders, current leaders and associates

Culture “happens” but can be changed

© 2009 Guidon Performance

Solutions, LLC.5/5/2010 4©2010 Badr Al Badr

The Power of Culture

Power has a significant impact on a

firm's long-term economic performance.

Low-performance cultures develop

easily, even in firms full of intelligent

people.

Although tough to change, corporate

cultures can be made more

performance-enhancing.

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What is a high performance

culture?

"A physical or virtual environment

designed to make workers as effective

as possible in supporting business goals

and providing value.” -Gartner

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What does it mean?

Accountability, innovation, focus,

urgency, and responsiveness.

Results-oriented culture based on

measurements and incentives

people are held accountable for the goals

they set and are recognized and rewarded.

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Performance

Culture

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Market Share Leadership

0%

20%

40%

60%

80%

100%

Digital Video: IPTV

65%Cisco/SA

0%

20%

40%

60%

80%

100%

Switching: Modular/Fixed

Cisco/SA70%

0%

20%

40%

60%

80%

100%

0%

20%

40%

60%

80%

100%

Security

Cisco

Security

35%

0%

20%

40%

60%

80%

100%Voice

Cisco28%

0%

20%

40%

60%

80%

100%Wireless: LAN

Cisco 54%

0%

20%

40%

60%

80%

100%Storage: Area Networks

Cisco24%

0%

20%

40%

60%

80%

100%

Routing: Edge/Core/Access

Cisco57%

100%

0%

20%

40%

60%

80%

Networked Home

Linksys 45%

0%

20%

40%

60%

80%

100%

Web Conferencing

Cisco/WebEx

50%

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Market Share Leadership

28%67% 70%24% 50% 54% 35%57%

50%

65% 70%35%

28% 54% 24%

57% 45%

Only company with leadership across all segments

45%

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Employee satisfaction leadership

Surveys show that Cisco is considered a best workplace for almost every location in the world

#1 Best Work Environment in Saudi: 2008, 2009

In 2009 on top 10 lists of best workplaces in:

India, Turkey, Austria, Belgium, Denmark, Finland, France, Germany, Netherlands, Spain, Portugal, Sweden, Switzerland, USA.

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cultureemployees

…are our competitive

advantage

service1/6

engineering1/3

sales1/3

other1/6

employees

63K+

countries

165+

offices

450+

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Cisco culture

Continuous Improvement/Stretch

Goals

Profit Contribution (Frugality)

Teamwork

Fun

Drive Change

Empowerment

Open Communication

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Leadership

Role modeling

Alignment with vision

Leadership model: C-LEAD

Delegation & Empowerment

Open communication

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Role Modeling

“The culture of a company is the behavior

of its leaders. Leaders get the behavior

they exhibit and tolerate. You change the

culture of a company by changing the

behavior of its leaders.”Larry Bossidy

Former CEO, Honeywell

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Alignment

Connecting the employee to the

company’s vision and mission

Linking individual and team goals to the

vision and mission

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Increasing

Complexity

Growing

Business

Volume

Escalating

Risk

Growing Business

Volume

Customers

Orders

Cases

Increasing

Complexity

Business models

Portfolio of offerings

Geography

Customer segments

Acquisitions

Escalating Risk

Geopolitical

“Once-in-a-lifetime”

opportunities

Emerging technologies

Business resiliency

Leadership in a chaotic world

Evolving

Leadership

Competency

Needed to

Succeed

in Chaos

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Collaborative leadership model

Connecting with customers, partners, suppliers, and colleagues – across functions as well as geographies to achieve significant results.

• Working Across

Boundaries

• Engaging Others

• Earning Trust

Building Cisco’s capabilities by continuing to develop own and others’ skills.

• Developing Self

• Developing Others

Delivering exceptional results by building commitment to the business and enabling teams to succeed.

• Demonstrating Passion

• Empowering Teams

• Achieving Results

Developing bold strategies and the organization’s capability to achieve its objectives.

• Shaping Strategy

• Building Capability

Promoting change and innovation to support Cisco’s strategy and set Cisco apart in the global marketplace.

• Promoting Innovation

• Leading Change

Application of Leadership Model

Model as a

Foundation

Recruitment

• Interview training

• Hiring process

• Internal talent

movement

Performance

• Performance

management

• Leadership evaluation

Development

• Leadership Series

• Management Series

Assessment

• 360 Assessment

• Talent Review

• Leadership

Promotion process

• Self assessment

How leadership drives this

culture?

Establishes measurement and

management systems with strong

accountability for results.

Focus on retaining and incenting the

best and brightest talent.

Above all, do what is in the best interest

of the organization, not just their own

team.

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Structure

Web 2.0 Collaboration tools

Performance management

Reviews: annual, quarterly, monthly, weekly

Matrix management

Talent reviews

Online 360

Pulse surveys

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Collaboration:

Flexibility driving productivityHow Cisco Employees’ Work Is Changing

63% of time is spent communicating and collaborating

Collaborative work is more often virtual (35%) than face-to-face (28%)

Cisco Technology Enabling Mobile, Collaborative Work “Styles”

56% of work is done away from their Cisco desk

43% have a remote manager

85% telecommute part of the time

24% of work is done from home, 48% outside business hours

Mobility Maximizes Productivity and Achieves Work/Life Integration

Average commute time is 1.4 hours a day

Employees report being more productive outside the office

70% would prefer to work from home at least two or more days a week

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Performance Management

The ongoing process of aligning individual

goals to organizational initiatives, as well

as assessing results

Rewards programs are aligned

assessment

Online tools that enable employees to

formally document their goals and

accomplishments

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Performance Management:

Goal setting

What is Goal

Setting?

SMART goals

Cross-functional and

organizational

Time/workload

prioritization

Alignment to the

business

Flexible and dynamic

Why is it important?

Drives great

performance

Establishes alignment

and within the business

Empowers employees

to act in an

environment of speed,

scale

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Performance Management:

Development planningWhat is it?

Development in current role

Long-term career planning tied to personal aspirations

Know what it takes to be successful

Joint commitment with employee and manager

Involves ongoing dialog

Why is important?

Accelerates individual performance and growth

Increases business performance

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Motivation

Corporate Social

Responsibility provide

meaning to work

A good workplace drives

motivation

Motivation drives

performance

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we believe

belongs to everyone.

Sustainable

Business Practices

Networking

Academy

Make Every Connection

a Green Connection

Volunteerism

community

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Employees Are Proud to Work at Cisco

Great Places to Work

Best Employers in Austria, Belgium, Demark, Finland, France, Greece, Ireland, Netherlands, Norway, Portugal, Spain, Sweden, and Switzerland

Fortune Magazine

100 Best Companies to work for twelve consecutive years! Ranked sixth overall

Worlds Most Admired Companies

Barron’s100 most respected companies—ranked tenth overall

Fast Company Magazine

50 Most Innovative Companies

Human Rights Campaign

Cisco scores 100% on Corporate Equality Index for the fifth time

Hewitt Associates

Best Employers in Asia, India and Turkey

Black and Hispanic Engineering

and IT Magazines

Most admired companies for Hispanics

Most admired companies for Blacks

Working Mother Magazine

Best Companies for Multicultural Women

National Association of Female Executives (NAFE)

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Who are “best employers”?

"best employers" as organizations that care about how people are treated at work, run their businesses with their people top of mind, and have superior business results as a consequence. -Hewitt

According to Hewitt, best employers • excel at making employees feel connected to the

business

• communicate with employees about the organization's goals

• align people and business through performance management

• link pay with performance of the individual and the company.

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Motivated employees drive

performance Expand their expertise in their area as well

as to broaden their experience over time. Each individual is continually improving their

own skills and contributions to the organization

Search for more efficient and effective ways of operating, and to look beyond their own area to understand the needs of the overall corporation.

Best employer companies generally have:• higher profitability

• higher customer loyalty

• lower hiring costs

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Culture

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